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Deindustrialisation is the name given to the decline in manufacturing (secondary) industry, and the growth in tertiary and quaternary industry. In the UK this has happened because:
  • machines replaced people in most manufacturing industries
  • other countries produced goods more cheaply
  • prices for UK goods were too high
  • lack of investment - machinery
  • high interest rates makes borrowing money from banks difficult
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Why have factories moved out of the city and into the rural-urban fringe?

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How can governments help?
In the UK industry has had to change. It has had to clean up its act and make itself more environmentally friendly. Most new industry has been built in new science and business parks and industrial estates (see footloose industry page). These tend to be located on the edge of towns in the rural-urban fringe. This is where the town and countryside meet.
How can Governments help?
In South Wales there was heavy decline in Industry
Attracting new industry to South Wales
The Welsh Development agency was set up in 1976 to attract industry to Wales and encourage people to set up businesses
Urban Development Corporations were set up
The region became a Development Area and had help from the Government and the EU

Did it work?


In the 1980s lots of companies came to south Wales
130 American and 130 European ones
20+ from Japan
New industries attracted were – biotechnology, IT, electronics and financial services
Most urban areas in South Wales now have modern business parks

Five-year regeneration project in Ystrad Mynach


The transformation of the Penalta colliery (coal mining) (which closed in 1991) into a new urban village
Improvements to recreation facilities at Penalta Country Park
New business developments at Tredomen Business Park

  • Refurbishment of the colliery